Analyst Ratings January 30, 2026

Canaccord Genuity Reaffirms Buy on Stryker, Sets $435 Target After Strong Quarter

Analyst maintains bullish view as Stryker posts double-digit growth, raises 2026 revenue guidance and highlights MAKO robotics momentum

By Derek Hwang SYK
Canaccord Genuity Reaffirms Buy on Stryker, Sets $435 Target After Strong Quarter
SYK

Canaccord Genuity has reiterated a Buy rating on Stryker (SYK) and assigned a $435 price target following the company’s robust quarterly results. The target implies notable upside from the stock's current level, while other analysts' targets span a wide range. Stryker reported double-digit growth across multiple business segments, strengthened its fiscal 2026 guidance, and cited expanding adoption of its MAKO surgical robotics platform as a growth driver.

Key Points

  • Canaccord Genuity reiterates Buy on Stryker with a $435 price target; analyst targets range from $316 to $465 - impacts Healthcare Equipment and Medical Devices sectors.
  • Stryker reported double-digit reported growth in the fourth quarter and recorded full-year double-digit growth across Trauma & Extremities, Other Ortho, Vascular, NeuroCranial, Endoscopy, and Instruments - impacts Orthopaedics and Surgical Robotics markets.
  • Fiscal 2026 revenue guidance raised to 8.0%–9.5%, supported by a strong capital order book and MAKO robotics momentum (3,000 systems installed, MAKO 4 rollout) - relevant to hospitals and surgical providers.

Canaccord Genuity has maintained a Buy recommendation on Stryker (NYSE: SYK) and placed a $435.00 price objective on the medical technology company after Stryker reported a strong fiscal quarter. That target implies substantial upside from the stock’s quoted price of $354.30. Analyst price targets on Stryker vary broadly, from $316 up to $465, reflecting divergent views on near-term momentum and longer-term valuation.

Stryker’s fourth-quarter results outperformed expectations on both the top and bottom lines, delivering double-digit reported growth even against a prior-year period that itself showed double-digit expansion. For the full fiscal year, the company recorded double-digit growth across several segments, including Trauma & Extremities, Other Ortho, Vascular, NeuroCranial, Endoscopy, and Instruments.

Management provided fiscal year 2026 revenue guidance of 8.0% to 9.5%, a range that is higher than the outlook provided at the start of 2025. Executives cited a robust capital order book and ongoing strength in the MAKO surgical robotics franchise as supports for the outlook. MAKO systems have now reached 3,000 installations worldwide, and the company has initiated the MAKO 4 rollout, which includes expanded capabilities for complex primary hip and revision hip procedures.

InvestingPro data noted Stryker’s long record of shareholder distributions, with dividend payments in place for 35 consecutive years and dividend increases for 16 straight years. The current yield stands at 0.99%. Investors can access an in-depth Pro Research Report on Stryker among more than 1,400 U.S. equities on the InvestingPro platform.

The company experienced more-than-expected de-stocking in the fourth quarter within its Inari business, but still achieved high-teens procedural volume growth and anticipates only minimal de-stocking in the first quarter of fiscal 2026. Management does not expect supply constraints that affected its Medical division in fiscal 2025 to materialize into 2026 growth headwinds.

Financially, InvestingPro assigns Stryker a "GREAT" overall financial health score, underscoring the company’s fundamental strength despite a relatively high price-to-earnings multiple of 46.36. Stryker is planning margin expansion beginning in 2026 and continuing thereafter even while absorbing an incremental $200 million in tariff-related headwinds. At its Investor Day, Stryker set a target of 150 basis points of adjusted operating margin expansion over the next three years. The company’s gross profit margin is 65.05%, and return on equity stands at 14%—metrics the company cites in support of its margin ambitions.

Stryker also benefits from comparatively low price volatility versus sector peers, a characteristic that can appeal to investors seeking relative stability within the healthcare equipment space.

On the earnings front, Stryker posted quarterly earnings per share of $4.47, beating the $4.39 consensus. Revenue for the quarter was $7.2 billion, just ahead of the expected $7.12 billion. That revenue total represents 11.4% year-over-year growth, with 10.4% growth when excluding foreign exchange impacts and 11.0% organic growth.

Following the results, several brokers adjusted their targets and ratings. BTIG increased its price target to $412 from $410 while maintaining a Buy rating. Citizens reiterated a Market Outperform rating and set a $440 price target. Management commentary and reported results highlighted that the MedSurg and Neurotech divisions slightly outperformed the Orthopaedics segment in the quarter. Despite the encouraging results, Stryker’s shares showed a minor decline in after-hours trading.


Context for investors

Stryker’s combination of multi-segment growth, a rising revenue guide for fiscal 2026, and accelerating adoption of MAKO robotics forms the basis for Canaccord Genuity’s reiterated Buy rating and $435 target. The company’s long dividend history and financial metrics such as gross margin and return on equity are cited as support for its ability to pursue margin expansion even as it navigates tariff costs and residual inventory adjustments in select businesses.

Risks

  • More-than-expected de-stocking in the fourth quarter for the Inari business introduces inventory-cycle risk that could affect near-term revenue recognition - impacts Medical Devices and Hospital procurement dynamics.
  • An incremental $200 million in tariff headwinds could pressure margins even as the company targets 150 basis points of adjusted operating margin expansion over three years - impacts corporate profitability within Healthcare Equipment.
  • Stryker’s high P/E ratio of 46.36 indicates elevated valuation risk relative to earnings, which could increase share-price sensitivity to any slowdown in growth - impacts equity investors in the healthcare sector.

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